Prospect Capital Slashes Common Dividend to $0.035 Monthly, Declares Preferred Dividends
PSEC is trading near its 52-week low of $2.11 (8.1% above the low).
Summary
Prospect Capital reported a quarterly net loss and cut its common dividend to $0.035 per share monthly, while declaring preferred dividends and scheduling an earnings call for August 21.
Key Events · Earnings and Guidance · PSEC
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Common Dividend Cut to $0.035 Monthly
Monthly common distributions of $0.035 per share were declared for September and October 2026, down from $0.115 per share in the prior quarter — a 70% reduction.
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Quarterly Net Loss of $38.1M
Net loss applicable to common shareholders was $38.1 million for the June 2026 quarter, driven by $82.4 million in net unrealized losses on investments.
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NAV Declines to $5.71 Per Share
Net asset value per common share fell to $5.71 from $6.05 at March 31, 2026, reflecting the loss and distributions.
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Preferred Dividends Declared
Monthly dividends were declared on 7.50%, 6.50%, 5.50%, and floating rate preferred stock, and a quarterly dividend on 5.35% preferred stock, with record dates in September and October 2026.
Analysis · PSEC · Unknown
Fiscal 2026 results for Prospect Capital show a net loss of $38.1 million for the June quarter, driven by unrealized losses. The company declared a monthly common dividend of $0.035 per share for September and October 2026 — a sharp reduction from the $0.115 paid in the prior quarter. This cut follows the 22% reduction already disclosed in the 10-K and reflects pressure on net investment income and NAV, which fell to $5.71 per share. Dividends on the preferred stock series were also declared, maintaining those payouts. The earnings call is scheduled for August 21, 2026.
At the time of this filing, PSEC was trading at $2.28 on NASDAQ in the Unknown sector, with a market capitalization of approximately $1.1B. The 52-week trading range was $2.11 to $3.13. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.